Jennifer Lang Financial Services, LLC.​Smart Money StrategiesWisdom For the Life You Want

​Age has its advantages, especially when it comes to purchasing auto insurance. Understand the “how” and “why” of obtaining better value when buying auto insurance with this checklist.

Maturity Matters: Auto insurance is based upon statistical data derived from millions of policyholders. In general, drivers above the age of 25 tend to have fewer accidents and get fewer tickets than do younger drivers. If you recently reached 25, be sure to ask your agent about possible discounts.

Duration of Driving: Experience consists of the actual number of years on the road - especially accident-free periods of time. You typically require a consistent driving record of at least five to seven years without tickets or other infractions to qualify for better rates.

Drivers Education: It’s never too late to learn more about good driving habits, especially if you are younger or planning to purchase a motorcycle, ATV or other form of transportation. Demonstrate your level of dedication and preparation by investing in a driver’s education course to qualify for better rates.

​Safe Drivers: Of course, safety pays, especially when it comes to obtaining the best auto insurance rates. With the cost of tickets higher than ever, allow yourself plenty of time to reach your destination and keep an eye on the little things like changing lanes and coming to a complete stop at all intersections. Not only will it reduce the risk of accidents or injury, but it will help keep your insurance rates low.

Picture this: You’re hosting a neighborhood barbeque. Bill from down the block slips on your deck and suffers serious injuries. Your homeowners policy liability coverage pays out $250,000. That’s great, but his total medical expenses, plus lost wages, create a grand total of $450,000. How will you come up with the additional $200,000?

This is where a personal umbrella policy comes into play. It’s designed to extend your liability coverage beyond your auto and homeowners policies. In a case like Bill’s, or if you encounter a similar situation with a car accident, your personal umbrella will cover you. Once you reach the limit of your standard policy, the umbrella coverage kicks in. This additional policy can make a huge impact when you face a large liability claim.

Million-dollar claims
Personal umbrella policies are typically available in million-dollar increments, and most personal umbrella policies cover between $2 million and $5 million. While this amount may seem high, keep in mind that 13% of personal injury liability awards and settlements total $1 million or more. With today’s higher health care costs and hefty litigation awards, one incident can become very costly.

Umbrella policies are helpful for those with considerable assets as well as for those without much money in the bank. If you have few savings, an umbrella policy will provide the much-needed funds to cover a large liability cost. If you’re wealthy, opportunists may be more likely to file lawsuits, knowing you have the funds to pay their settlement. With this extra coverage in place, both groups are fully protected; your savings and assets won’t be at risk if you have an umbrella policy in place.

​Contact your insurance pro, who can help you determine how much additional coverage you may need.

However, wouldn’t it be nice to avoid liability claims altogether? While it’s vital to have insurance to pay any liability expenses you incur, it’s even better to avoid the claims in the first place.

According to insurancejournal.com, reputation damage tops the list of the most costly small business insurance claims, and resolving these claims costs, on average, $50,000. Number four on the list is product liability, and number five is customer injury or damage.

However there is good news: You can take steps to avoid making a claim under your liability insurance simply by reducing your liability risks. Instituting a comprehensive risk-reduction program can save your company time, money, and damage to its good name. With the following suggestions, you can lower your risk and save significantly on liability costs:

Employee training: Do you have the proper safety training programs in place? Make sure your employees are well trained on general accident prevention and response as well as industry-specific safety issues. This can go a long way in stopping liability issues before they start.

Safe surroundings: Regularly inspect your workplace for safety issues. Ensure you have sufficient lighting in stairways and entrances. Repair tripping hazards on floors or stairways. Clean up spills or wet areas immediately. Regularly review outdoor areas and take action if issues are discovered. Repair parking lot potholes and clear trash, debris, and slipping hazards. Small fixes can have a huge positive impact.

Mindful marketing: In today’s world, advertising and marketing are essential. With the slew of social media and other digital options available, businesses can deliver a constant stream of advertising to customers and potential customers. But as you market yourself, take care to avoid liability issues. Don’t slander a competitor (or a client) and don’t make claims you can’t support.

Copyright warnings: In designing advertising, many companies have accidentally stepped into copyright issues. Be careful when quoting others or using images or logos, and get permission for testimonials before you publish them. It’s easy to repost or “borrow” content, but that can just as easily land you in a liability suit.

Property care: Do your operations involve customer property? Do you offer a service at their homes or provide customers with in-store repairs? If so, have policies in place that protect both you and your customers. The goal is to establish careful procedures for handling customers’ property. Two suggestions: consider having them sign a waiver before services are performed and/or document the condition of their property before and after services are rendered.

Customer service: Communication is key. When you’re open and honest and clearly communicate with customers, you’re more likely to have a healthy relationship with them. This may mean they’re less likely to sue. Make the extra effort to keep customers in the loop and follow up with them, and try always to exceed their expectations.

We know that ​buying a home is one of the biggest purchase decisions you’ll ever make. But getting a mortgage loan doesn’t have to be difficult. That’s why WFGInsuranceQuotes.com helps you find the right home financing with the right mortgage lender.

Whether this is your first time applying for ahome loan, or you’re buying a vacation home or investment property, you’ll want to be prepared.

​Already have a home loan? We can also help you refinance your mortgage to help you save money, help with low cost homeowner's insurance and mortgage protection insurance.

Get up to 5 free mortgage loan offers in minutes. There’s no cost and no obligation. It’s just a great first step to turn your dream home into a reality. Get started today.

​We live in a litigious society. The court system sees over a hundred million lawsuits every year.

If your business is involved in one, ensure you take proper steps to navigate the process. Some suits are easily dismissed, while others can cripple your company: the median cost for a business liability lawsuit is around $54,000, and contract disputes are typically closer to $91,000.

With these figures in mind, your essential first step is to obtain proper insurance coverage and have it in place before a suit occurs. The policies that are most applicable in the event of a lawsuit include general liability insurance, workers’ compensation, and professional liability insurance. But if a suit exceeds your policy limitations, the addition of an umbrella policy may save large out-of-pocket expenses, and maybe your company.

Next steps
Supposing you have solid insurance coverage and are hit with a lawsuit. The next steps are:

Contact your attorney. If you don’t have an attorney already, get one, and review the lawsuit with him or her. Ensure your attorney has all the information needed to accurately and effectively represent you.

Contact your insurance provider. Do this right away, as many policies require you to forward suit papers promptly to your carrier. As you did with your attorney, ensure the details are clear. Verify what coverage you have to determine if the type of suit you are facing is covered under your policies.

If you are concerned your policies might not cover the suit, talk to your agent about the options available to you and to confirm whether the specific circumstances of your case will fall under your policy. Don’t make assumptions about coverage. Check dollar limits as well. This will help you develop a good understanding of how much, if anything, the suit will cost you out of pocket.

Typically, if the suit falls under your policies, the coverage will pay for attorneys’ fees and costs of any settlement.

Decide how to proceed. With professional advice from both your attorney and your insurance provider, determine how to respond to the complaint.

Respond to the complaint. Do this in a professional and timely manner.

Partner with your insurance carrier. Most suits, especially workers’ compensation cases, require investigation. Cooperate with all carriers involved to ensure the case moves along as smoothly as possible. You may need to provide documentation, employee files, or other information. If you receive requests, inform your insurance agent and attorney, who will take care of these requests as appropriate; don’t provide documents to anyone else.

Throughout the process, your insurance provider is a strong ally. Don’t miss out on the advantages this partnership offers. Keep your lines of communication open, and allow your carrier to assist you as you go through this difficult event.

​Your belongings are boxed. Your closing is scheduled. You’ve filed dozens of change-of-address forms. What’s left to do for your move?

Have you thought about moving insurance? If you’re hiring professional movers, you may assume you’re covered. This might not be the case. All moving companies are liable for the property they transport. However, their basic liability falls under either “full value” or “released value.” If you pay the extra cost for “full value,” the mover has to repair, replace, or pay for any damaged items. Under “released value” obligations, the mover only has to pay 60 cents per pound per item. If they damage your solid wood bedroom set, those cents won’t add up for you.

Some moving companies offer insurance policies. These work like most coverages: you pay the premium up front as well as a deductible for any claims. If the price seems fair, this policy may be worthwhile. However, check your state regulations to ensure it’s legit. Not all states allow moving companies to sell insurance policies, and it’s not unheard of for moving companies to sell bogus coverage.

The better option may be to obtain your own coverage through your insurance provider. Your homeowners policy may include move coverage, or you may need to add it for a small additional premium. If you need a separate policy, rates are usually based on the value of your possessions.

Is it worth the cost? The answer may depend on how trustworthy your movers are. And how much you care about your belongings.

If you are buying a house or need coverage for an existing house? WFGInsuranceQuotes.com is your one-stop shop for mortgages, home insurance and mortgage protection insurance. Contact us today and let us help you find a budget friendly rate that is customized for your needs.

​Your home is underwater, and it’s not about its market value. Literally, your home has been consumed by floodwaters. Now what?

Whether the cause is a broken pipe, a storm, or a flooded river, take the following three steps in this order.

Stay safe: It may be tempting to rush in to salvage your belongings, but water can create hazardous conditions. Check for a weakened structure as well as damage to gas or electric lines. It might be extremely dangerous to walk on cracked floors or wade through standing water near electrical shorts. If you even suspect the property is unsafe, don’t enter. If you can safely turn off electrical sources and/or gas, do it before you go in.

Document everything: Take photos (or a video) of the damage before draining the water, removing items, or making repairs. For insurance purposes, it will help to have an accurate depiction of the extent of the damage.

Contact your insurance provider: Notify your agent as soon as possible. Some flood damage is not covered by typical homeowners insurance policies. Communicate with your provider to discover what, if any, coverage is available. Let them know of any repairs you intend to make. Your agent can advise you if you need to wait for an adjuster to inspect your property first. If you do make repairs, document the process with pictures and receipts.
Throughout this process, it’s important to stay in touch with your insurance provider, particularly if yours is not the only property impacted by a flood.

​The insurance company can also provide contact information for the Federal Emergency Management Agency, which will be an important source of information if your flood is part of a wider problem. Should your region be declared an official “disaster area” by the government, you may receive additional financial assistance.

Check with your insurance company for information about these and other resources.

​​You’ve heard the term “cyberspace.” You may have visited a cybercafé. You know of businesses that have suffered from cybercrime. But are you familiar with cyber insurance? It’s one of the best weapons businesses can wield against the effects of cybercrime.

What is cyber insurance?
This type of insurance is designed to cover a company’s liability if data breaches occur that release sensitive information such as customers’ Social Security numbers, health records, or credit card numbers.

Doesn’t liability insurance cover these situations?
Cyber coverage is often excluded in a general liability insurance policy. The general policy typically covers property damage and bodily injuries resulting from a company’s operations or services. This does not encompass the issues that arise with cybercrimes.

What does cyber insurance cover?
Policies vary and may be customizable to suit each company’s needs. Typical coverages include:

Legal fees: Even a small data breach can generate significant legal expenses. From lawsuits filed against the company to those the company needs to file, cyber insurance covers the many expenses involved.

Notifications: If a data breach occurs, the business must notify its customers. This could take the form of snail mailings, phone calls, emails, or other forms of communication. Cyber insurance covers the expenses incurred with these notifications.

Restoration: A cybercrime might result in one affected customer or thousands. The company affected might be responsible for restoring personal identities for each of these customers. The cyber insurance policy will ensure coverage for the cost of customer restoration.

Recovery: Data that has been compromised needs to be recovered. Whether the attack was via ransomware, stolen files, or viruses, the company under attack must expend resources to get the affected data back under its control.

Repairs: Cyberattacks often damage computer systems. Cyber insurance offers coverage for the cost to make these repairs.

Who needs cyber insurance?
Almost every modern business relies on cyberspace for some aspect of its operations. If you’re not sure whether you need cyber insurance, ask yourself the following questions about your company. Do your employees rely on computers to complete their work? Does your company manage or store personal customer data? Do you use cloud services? Could your company financially survive a cyberattack?

The answers to these questions will clarify whether or not your business is in need of cyber coverage.

How can I prevent cybercrime?
Of course, the optimal scenario for any business owner is to never fall victim to cybercrime. Business owners can take steps to prevent these offenses. First, put proper security measures in place. Protect computers with appropriate security software. Second, educate employees. Make them aware of common scams that result in data breaches. Train them on proper security protocols. Lastly, keep a close watch on your systems. Track security logs and analyze systems for suspicious activity. Watch account balances carefully. Take immediate action if something seems off track.

​If you have an adult child who you are still paying some expenses for, or they are studying in college (living either away from you or at home), you could still be held liable for any damage they cause through their own negligence.

They may even have their own car insurance, in their own name, but if your child ends up injuring someone severely and is sued and the policy limits on their car insurance are not enough to cover the judgment, you could still be held liable for damage that the policy didn't cover, depending on the circumstances.

That said, aside from car accidents, negligent and or intentional acts that damage someone else's property or injure a third-party could be covered under your homeowners policy and an umbrella policy.

For the purposes of this article, we are talking about mostly an adult child under the age of 25 living at home or away at college. The key factors that would possibly trigger homeowners or umbrella coverage in terms of parents having some liability for their adult child's actions are:

1. Their continued financial support of the child, and/or
2. That the child lives under their roof.

The car insurance issue

There may be occasions when parents of a twenty-year-old reckless driver who is either still living at home or away at college may want to take steps to separate his liability from their own, like:

Putting the car he drives in his name.

Removing him from their auto insurance policy.

Requiring him to buy his own insurance (they may figure also that if they make their child pay the premium, the financial pain will reform his driving habits).

When you remove a young adult driver from the family policy, you reduce the probability of a claim for property damage, first-party and third-party injuries, and other liabilities that may result from an accident. It would reduce the parents auto insurance premiums and push the liability to the child's Insurance. However, if they are sued for extreme negligence and the award exceeds the policy's liability maximum, the additional award could be on your shoulders if your child doesn't have the personal resources to pay.

Your own car insurance would not cover it and, since its auto-related, the homeowners policy wouldn't cover it either.

Coverage explanation

The scope of coverage from minor and adult children under their parents' homeowner's policies, with respect to personal property coverage and personal liability coverage, rests on the policy definition of "insured" in the typical policy.

The definition, in pertinent part, includes relatives who are residents of the named insured's household. Children, brothers and sisters, parents and grandparents are examples.

This doesn't mean that your 40 year old daughter who is over for dinner is covered, though, since a visitor is not a resident.

Also, the policy will cover persons under the age of 21 in the care of the named insured (such as a foster child), as well.

​The next time your homeowners or renters policy is up for renewal contact us and let us know if you have any grown children and what their status is in terms of living arrangements. We're happy to help.

*Referring SafeMoney.com Advisor: Jennifer LangIf I could show you a way to stay in control of your money until you take your last breath, but instead of giving that money to the government, nursing home or hospital, you could keep that ​

money in the family for generations to come, at the very least wouldn’t you want to know how to do that?​Learn how to protect your money from unnecessary risks.